Microsoft leads in enterprise SaaS market for the third successive quarter

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Microsoft Office 365

According to the latest data from Synergy Research Group, Microsoft emerged as the leader for the third successive quarter in overall enterprise SaaS market, thanks to the growing adoption of Office 365 among the enterprise. Overall, enterprise SaaS market grew 32% year on year to reach almost $13 billion in quarterly revenues, with ERP and collaboration being the highest growth segments. Even though Microsoft is currently leading the market, the highest growth rates were from Oracle and Google.

“There are a variety of factors driving the SaaS market which will guarantee substantial growth for many years to come,” said John Dinsdale, a Chief Analyst and Research Director at Synergy Research Group. “Traditional enterprise software vendors like SAP, Oracle and IBM are all pushing to convert their huge base of on-premise software customers to a SaaS subscription relationship. Meanwhile relatively new cloud-based vendors like Workday and Zendesk are aggressively targeting the enterprise market and industry giants Microsoft and Google are on a charge to grow their subscriber bases, especially in the collaboration market.”

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